A friend in need, is a friend indeed. Who does really help Ukraine?

On the 9th of April 2014, the President of the Russian Federation, Vladimir Putin held a meeting on sharp questions - gas supply, the billion depth, which Ukraine doesn't give back, and political prospective between Russia and Ukraine.

Vladimir Putin emphasized that even in the current difficult situation, Russia, unlike the West, provides Ukraine with financial support, however it won’t last eternally.

It might seem that Ukraine and Russia are on the edge of the gas-war, which can affect not only them (Ukraine and Russia). Ukraine didn’t agree with the rise of the price on Russian fuel, and in fact threatened Russia and Europe with stopping of the transit of gas.

“We see, how complex internal political processes are taking place there now. Hoping, that the initiatives of the Russian Ministry of Foreign Affairs on equalizing the situation to change it for the better state will have consequences, and the result will be positive.”, - said Vladimir Putin.

With regard to the financial sphere, it was reminded during the meeting, that by the end of the last year Russia provided assistance to Ukraine in the amount of 3 billion dollars, by buying Ukrainian securities with this sum.

“I ask the Minister of Finance to remind what we have done in the previous time in this sphere to support the Ukrainian economy, and how will develop the situation in accordance with the existing agreement”, - said Vladimir Putin.

“In December last year we redeemed the Eurobond loan of Ukraine amounting to 3 billion dollars of the USA. Moreover, it was redeemed under concessionary terms, at par. So thus we supported economy and finance of the Ukrainian side and helped Ukraine to finance the budget deficit. The first payments for maintenance of these bonds are coming already in June of this year. Therefore, we rely on the fulfillment of obligations, which were signed by the Ukrainian side in the debenture.” – said Finance Minister Anton Siluanov.

“Are you in contact with the Ukrainian partners on these issues? Was this topic of development of these relations discussed in financial sector?” – asked Vladimir Putin.

“We had contact with my colleague, the minister of Finance of Ukraine, who asked for further assistance from the side of the Russian Federation on similar repurchase of another tranche of Eurobonds on the amount of 3 billion US dollars. At this moment the proposal is in the Ministry of Finance. We assume, that it will be considered as the events develop.” – said Anton Siluanov.

“By providing, in essence, the loan of 3 billion dollars in December 2013 we agreed upon, that our partners in Ukraine will repay the debt to “Gazprom” in full amount for ­the delivered gas in the last year and will pay regularly the current payments fully. For this we agreed on the quarterly discount. What happens with this now?”, - asked the President.

“The debt for the delivered natural gas from Russia to Ukraine is 2 billion 238 million US dollars. At the time of issuance of the credit the debt amounted to 1 billion 451 million US dollars”, - said the Russian Energy Minister Alexander Novak.

“So, instead of having to repay 1 billion 451 million dollars, our partner increased their debt to the sum of 2 billion 238 million…” – said Vladimir Putin.

The Ukrainian Government didn't pay for the November-December gas, because of the Russian financial help, Ukraine was able to pay for January and partially for February's gas. March is not paid at all.

“As it has been known, our European partners acknowledge the legitimacy of the current Kiev leaders; however they do nothing in order to support Ukraine. Any dollar, any Euro. The Russian Federation does not acknowledge the legitimacy of the authorities in Kiev, but continues to assist Ukraine with economical support and continues to subsidize the economy of Ukraine with dozens of million and billions of dollars, even until now. This situation, of course, cannot last eternally”, - said Vladimir Putin.

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